A paper presented by Commodore Simon Gerson Dogo (Rtd) at the Eko Academia Entrepreneurship ICT Innovation Summit 1.2. 2026 Lagos, Nigeria
Introduction
Globally, security remains one of the most critical determinants of economic developments, business sustainability and investment attraction. This concept is emplaced through national or community policing. (This paper will use community policing and state police interchangeably). Community policing is considered in modern day security architecture, to support the regular police organization in combating crimes. Small and medium scale enterprises (SMEs) constitute the backbone of a nation’s economy. Aikor S Timothy, recognized that SMEs are key contributors to economic expansion and are seen as vital components of the economy since they contribute substantially to national development in driving economic growth. As businesses seek environment that guarantee safety, predictability and stability, community policing has become strategic in enhancing local security towards promoting economic growth.
In the USA, in spite of the positive effects of small and medium scale businesses on the economy, the business owners face challenges due to criminal activities. It is for this reason that President Donald Trump drafted an Executive Order, Number 14288, titled “Strengthening and Unleashing America’s Law Enforcement to Pursue Criminals and Protect Innocent Citizens”. He said “Safe communities rely on the backbone and heroism of a tough and well-equipped police force.” The President expressed commitment at empowering the national and local law enforcement agencies, to decisively curb the rising spate of dangerous behaviours and criminal activities. The Presidential Order unleashes high-impact law enforcement in protecting citizens, employees and small business owners who are the victims.
In third world countries like Nigeria, the SMEs are broader. It is made of micro, small and medium scale enterprises (MSMEs). The micro-enterprises are the smallest business units with some having only one employee. Most economies operate largely at this micro level, often called the informal sector. As at 2017, the National Bureau of Statistics estimated MSMEs to be over 41 million in Nigeria. With the recent high proliferation of Point of Sale (POS) machines in the economy, the figure is now estimated to be over 49 million small businesses in operation. These small businesses are located at every nook and crannies of the country. Examples include; roadside mechanics, cooking gas and food vendors, fashion designers, transporters, dry cleaners, furniture makers, vegetable sellers, bottled and sachet water, cobblers as well as shop owners in all Nigerian markets including fish and meat sellers amongst others.
Operators of small businesses make a lot of effort to survive and grow but existing security challenges limits their operations. Insecurity is a major problems that threatens the survival, growth and development of SMEs in Nigeria. The security challenges prevail in towns, cities, the hinterland and the ungoverned spaces where these informal sectors are mostly situated or operated. Over the years, the threat posed by insecurity and the poor responses of existing security apparatus has warranted the call for community policing or state police.
According to The Nigerian Independent Newspaper, over the last 30 years, the Nigeria’s oil industry has suffered massive bleeding. For instance from 2009 to 2021, about 619.7 million barrels of crude oil, worth more than $48.16 billion, was lost to oil theft and pipeline vandalism. The Nigeria Extractive Industries Transparency Initiative (NEITI), also added that in 2022 alone, about 36.69 million barrels of oil were lost for the same reasons. This had a huge setback on the economy as Nigeria struggled to meet up with OPEC production quotas.
The BBC News of 20 September 2013, reported that pipeline vandalism and high level oil theft in Nigeria has become a lucrative business with international complicity. The involvement of some foreign collaborators in this crimes coupled with the kidnapping of foreign oil workers, some international oil companies left Nigeria. The military was formally deployed to secure oil-producing areas of the Niger Delta in 1993. However, the persistent and overwhelming high level of crime rate in the vast expanse of the oil rich peninsula, made the federal government to deploy a local security outfit called TANTITA, in 2022. The deployment of this local security now working in tandem with the military is yielding positive results. Although, oil-producing business does not fall in the class SMEs, the deployment of community police as a model of security initiative is capable of raising investor confidence and facilitating the growth of SMEs in Nigeria.
The establishment of community police to add to the national security architecture would boost the crime fighting efforts of the existing Nigerian security structures. The purpose of this paper is to highlight community policing as a foundation for SME growth as well as positively raise investor confidence. The paper will first clarify some terms and define some key words, thereafter make some literature review and discuss the theory to support the work. Overview of the Nigeria police will be made with mention on the legal framework amongst others before conclusion.
Definition of Key Words and Clarification of Terms
The terms to be clarified are derived from the variables which include community policing, SMEs, foundation and investor confidence.
Community Policing. Luca Prono conceptualized community policing as a security ideal that promotes proactive collaboration or teamwork between law enforcement agencies and community members. Fischer and Eileen added that community policing is a shifts from a reactive to a pre-emptive police work with the focus to identify, prevent and address persistent security problems in a community. This is achieved by strengthening mutual trust, improving intelligence gathering and encouraging responsibility for safety. Community policing creates enabling environment for business operations that attracts both domestic and foreign investment.
Small and Medium Enterprise. Segun and Bankole clarified small and medium scale enterprises as businesses that fall below specific limits for employment, annual revenue and asset value. In Nigeria SMEs are private businesses that meet assured employment and asset turnover limits. In other words, the number of personnel, the capital base and income, fall below definite limits.
Foundation. The Concise English Dictionary defined foundation as establishment or anything dedicated to supporting specific initiatives that can be sustained on permanent basis. For instance, policing is an institution that supports trust, confidence and stability in business.
Investor Confidence. Investor confidence is the level of trust and optimism that people and groups have in future economic conditions and financial returns. Jeremy clarifies it as investor’s willingness to engage in the investment opportunities and associated channels available, based on their perception of risk and returns. When confidence is high, investor’s optimism and investment drive increases. Thus the more effective policing is emplaced, the more SME growth persist and the more investors’ confidence rises.
Literature Review
An appraisal of some intellectual works on community policing and investor confidence readily reveals that both traditional and contemporary thinkers differ in varying proportions on the conceptual framework and objectives. Notwithstanding, there is a concord on the ultimate aim of community policing and investor confidence which is the growth of SMEs for national development.
Trojanowicz (1994), described community policing as a social contract between the local police and the community in order to identify and solve crime-related problems in the community. In agreement, Peak (1994) stated that such a partnership is a modern policing philosophy that advances a cooperative premise for crime prevention. Therefore, community policing is viewed as a proactive approach that brings together the police and the community in the fight against crime. It also provides a framework within which members of the business community can be active participants to prevent crime and enhance confidence towards business development in their neighborhoods. According to Ayodele, the growth of SMEs indicates attainment of development objectives. He supported his argument with the opportunities created for employment generation, income redistribution, promotion of indigenous entrepreneurship as well as production of intermediate goods to strengthen inter and intra industrial leakages. In their submission, Simon-Ilogo & Kemi posited that SMEs contribute effectively in economies, where enabling environment is created through the provision of requisite infrastructure like roads, telecommunication, power and effective security measures. Nevertheless, these scholars failed to mention the legal framework to operate the state or community police.
Contrariwise, Friedmann (1996), opined that community policing is misunderstood. He insisted that for a local police to exist, it means that the regular police cannot cover all the areas of the society. He believed that there was little public discussion on what crime is and very little understanding of why it occurs. He said that understanding crime and its magnitude requires legal instrument. He reasoned that without an in-depth understanding of crime and what the society needs, community policing will not be effective. Friedman suggested the emplacement of legal framework that can determine the gravity of crime committed and the accompanying document to guide the operation of community police. In agreement, Reaves (2015) supported the provision of a legal document to operate state police with the collaboration of communities to combat crime.
Based on these scholarly arguments, a legal framework to operate state police is lacking in the Nigerian context. From the foregoing, security is fundamental for the growth of SMEs and investor confidence. Therefore, there is a need for a legal instrument to establish community police. This is the gap this lecture proposes to address.
Theories of Economic Growth and Development
Economic growth and development theories explain how nations increase output and improve living standards through resources, technology and institutional factors. Isaac Adelman analyzed economic growth based on capital stock, natural resources labor and stock of applied knowledge. There is no doubt that high industrialization, wide economic knowledge capital investments of firms and expected savings overtime are requirement for sustainable economic growth and development. Sadly, the global village is currently plagued by high rate of insecurity, instigated by wars, insurgencies and terrorist activities amongst others. As such, it makes sustainable business growths and investment unattractive. Hence, this calls for effective policing to raise investors’ confidence.
Quality Management Theory. Theory of quality is a collection of foundational frameworks and philosophies focused on continuously improving services and processes. Edward Deming believed that most defects results from poor management systems rather than workers. He posited that sustainable SME growth depends on quality institutions and operational independence. The former Prime Minister of England, Gordon Brown observed this reality and advocated that the Bank of England operates independent of political interferences. He was convinced that this will spur the Central Bank to perform effectively in assigned tasks. An institutions like a state police operating independently within the confines of its given legal framework and roles, without political intrusions, would provide conducive environment for businesses to thrive. Therefore the creation of community police would need independence from politicians to operate effectively.
Overview of the Nigerian Police
At the end of the slave trade, the British government maintained trade relations with the Africans on commodities other than slaves. In 1847, the colonialist appointed John Beecroft as Consul to oversee the Bights of Benin and Biafra areas. These Bights were regarded as the Eastern colony. Beecroft was mandated to ensure that there were no quarrels between the African chiefs and the British merchants. The mandate was to enable free trade flow between the 2 parties. Edward H Hewett succeeded Beecroft as Consul and maintained status quo after moving the British Consulate from Fernando Po (Now Equatorial Guinea) to Calabar. However, when Ralph Moore resumed as Consul, he discovered that there were security issues on ground which the previous Consuls did not address. Thus, he requested for the establishment of a police constabulary to provide security to enable build confidence on small business operators and their growth.
Although, established as an instrument of colonial control and regional enforcement, the police constabulary protected businesses against hoodlums. It also facilitated free trade routes from the hinterland to the seaports in Lagos and Calabar. Throughout the colonial era the local police struggled for acceptance because there was rooted tension in their role which was tilted towards colonial dominance, without meaningful involvement in public and civil service.
The history of the Nigeria Police Force (NPF) spanned from 1820 to 1965 and covers the transition from the British colonial force to the independent NPF. Following Nigeria’s independence, the NPF operated alongside the local police in the northern region (Dan Doka) and local government police in the western region (Olopa). The regional police were often used by politicians and traditional rulers to brutalize citizens, assault political opponents and suppress discordant voices. The misuse of the regional police, led to the disbandment in 1966, to pave way for a nationally structured NPF intended for better policing roles.
The Constitutional Framework for Establishing State Police
The Constitution of the federal Republic of Nigeria provided for the establishment of the Nigeria Police. Section 214 of the 1999 Constitution as Amended, subsection (1) states that, “There shall be a police force for Nigeria, which shall be known as the Nigeria Police Force and subject to the provisions of this section no other police force shall be established for the Federation or any part thereof”. It has been observed over the decades that the ban on regional police created gaps in the effective policing of the country. Owing to these lapses, there has been a continuous clarion call for state police in Nigeria.
Thus, on 11 June 2026, The National Assembly proposed the amendment to section 214 of the Nigerian Constitution to create the state police. The establishment of the state police would provide for dual policing system alongside the federal police, with assigned operational responsibilities, oversight functions and a defined funding frameworks. For that reason, as soon as the amendment to Section 214, receives the presidential assent, the Nigerian Constitution would contain the establishment of state police forces across all the 36 states and the Federal Capital.
State Police in Parts of Nigeria
Some state governors established what seems like state police to support the NPF. A few shall be mentioned for emphasis. In western Nigeria AMOTEKUN was established to police the entire western region. Although, Amotekun is not operating under enabling laws of the federation, the operation is controlled and managed by seasoned retired military officers who regulate the activities to conform to the security architecture of federal government.
Kano state and some north western state governments have also established the HISBAH police to regulate the behavior of Muslims towards crime reduction. The operation of Hisbah has religious connotations. The religious laws are not binding on non-Muslims, as such it is not effective. A national legal framework is needed to give Hisbah the biting power it deserves.
BOKO HARAM initially called ‘ECOMOG’, was created by Borno state governor as local police intended to support the Nigeria Police. The poor management of ECOMOG owing to lack of enabling laws made the governor, with the support of some Borno elders and religious leaders to divert their operation for religious and political interest. ECOMOG went out of the control of Borno state government who then out of disappointment, christened it Boko Haram.
YAN KALARE was established in Gombe state to complement the Nigerian police. Arising from the absence of enabling laws, inadequate funding and lack of training and management, the outfit transmuted into political thugs. Currently, each person that emerges as state governor use Yan Kalare as instrument of oppression and attack dogs against political opponents.
Understanding Community Policing
Community policing is proactive in nature, decentralized and requires that the police officers be deployed to an area for duties. In the process, the local police and the leaders of communities work in tandem to identify, prioritize and solve contemporary security problems. The philosophy of community policing emphasizes law enforcement that is based on partnership for problem-solving. Unlike traditional policing models that are often reactive, community policing encourages continuous interactions between the police officers, community leaders, business owners, youth groups and the local residents. The core principles of community policing includes:
- Community partnership and engagement.
- Prevention of crime through local intelligence.
- Transparency and accountability in policing.
- Joint responsibility for public safety.
- Building trust between citizens and law enforcement.
In the Nigerian context, community policing seeks to leverage local knowledge and community participation to improve security outcomes and strengthen public confidence in law enforcement. The economic impact on community police is enormous as SMEs would thrive better with confidence building on investors.
Community Policing Vis-a-Vis SME in the NIgerian Economy
Small and medium scale enterprises play a vital role in the economic development of Nigeria. It contributes significantly to employment generation, poverty reduction and local production amongst others, including economic diversification beyond the oil sector. The challenges arising from inadequate policing, often reduce productivity, profitability and business expansion. In some instances, SME operators temporarily shut down or relocate to other countries with stable security. Many business men incur additional costs to employ private security for their businesses.
Kano, is a cosmopolitan town famously known as the Centre of Commerce and a highly industrialized city in northern Nigeria. The economic history of Kano dates back to the middle ages. By 1850 the city was known for annually producing millions of leather sandals and millions of tanned hides which are exported with other products that include textile materials and grains. The city maintains her economic and businesses till date. When interviewed on the security situation, a small business operator complained of criminal activities perpetrated by lawless gang groups. This was a great challenge to the operators of small businesses and commercial activities in parts of Kano. Violence on citizens, street robbery, physical attacks on business owners and market disruptions were rampant and very disturbing.
According to the Kano Chamber of Commerce Industry Mines and Agriculture (KACCIMA), widespread regional insecurity has pushed parts of the northern economy towards collapse. Kantin Kwari, known as the riches textile market in the north, was severely affected by insecurity. Foreigners, who hitherto had invested in Kano, closed down their businesses. The local business men were handicapped to meet up with the huge customers’ demands. According to M. Garba, “to address the insecurity issue, the Kano state government invested over 1 billion Naira to procure gadgets and vehicles for local security operatives”. The vigilante group was re-organized to enhanced community policing. The NPF which hitherto was incapable of maintaining law and order due to increasing level of risk faced by SME operators, received a boost. As such the combined efforts of NPF and reinforced community police decisively dealt with the criminals. The stringent measure greatly reduced the high level of risks in the operation of SMEs and restored confidence in investors. This underscores the importance of community policing.
Classification of Small and Medium Scale Enterprises
As stated earlier, SMEs are the back bones of many economies, it accounts for about 90% of the private sector and contribute about 77% to the GDPs. The SMEs are key contributors to economic expansion and are vital components of the economy because they contribute significantly to job creation, income generation and poverty alleviation. Whether in micro or developed economies, SMEs generally have fewer employees. In the USA, the SME Administration office, sets a staff threshold that ranged from as few as 3 to 9 for micro enterprises and 10 to 99 for small businesses. For medium businesses the staff strength range from 100 to 500 employees. In monetary terms, the capital base varies from $3000 to $1m million respectively. SMEs account for about 50 percent of the total workforce in the USA and contributes about 43.5 to the GDP.
In the Nigeria context SMEs accounts for over 96% of employment and 48 of the GDP. It plays a key role in poverty reduction, local economic development and value addition, particularly in sectors like agriculture, ICT, manufacturing and numerous other services. Challenges faced by SMEs include limited finance, technological gaps, regulatory barriers, targeted government policies. Capacity-building programs and investment opportunities can significantly enhance their growth and contribution to the economy. SMEs exemplify the foundation for sustainable economic progress.
The Benefits of SME Growth in Nigeria Buoyed on Community Policing
The growth of SMEs is crucial for the country’s economic development. Some of the benefits of SMEs growth in Nigeria are:
Job Creation. SMEs contribute significantly to job creation, absorbing a large portion of the workforce and reducing unemployment rates.
Economic Growth. SMEs are vital for economic growth, providing subsequent contribution to both the creation of jobs and the GDP.
Poverty Alleviation. SMEs play a crucial role in reducing poverty, fostering economic growth and creating jobs.
Innovation and Entrepreneurship. SMEs encourage entrepreneurship and innovation leading to the creation of new products and services.
Regional Development. SMEs contribute to balanced regional development and provide vital goods and services to underserved and rural areas.
In addition, community policing supports SMEs through the following;
Reduction In Crime And Business Risks. Community policing strengthens local surveillance and intelligence networks, making it easier to detect and prevent criminal activities. When crime rates decline, businesses experience fewer disruptions, reduced losses and improved operational stability. A secure environment enables SMEs to focus resources on expansion, innovation and service delivery rather than an excessive security measures.
Improved Business Confidence. Entrepreneurs are more willing to establish and expand businesses in communities where security agencies maintain positive relationships with the local residents. Community policing creates a sense of safety and confidence, encouraging individuals to invest in new ventures and business opportunities.
Enhanced market Activity. Secure communities attract additional customers, suppliers and service providers. Improved security encourages longer business hours thereby increasing commercial activities and greater movement of goods and services, thus, stimulating local economic development.
Protection Of Critical Infrastructure. Community policing facilitates the protection of roads, markets, telecommunication facilities and power infrastructure that support business operations.
Reduced vandalism and sabotage contributes to smoother business activities.
Community Policing and Investor Confidence
Security remains a key factor influencing investment decision. Investor confidence is heightened or elevated where additional local policing is operated effectively to complement the NPF. This occurs through the following:
Creating a stable investment climate. Investors seek environments where their assets, personnel and operations are well protected. Community policing contributes to stability by reducing crime and fostering social cohesion. A secure environment signals lower investment risk and encourages capital inflow.
Strengthening Rule of Law. Effective community policing enhances law enforcement effectiveness and promotes adherence to legal frameworks. Investors are more likely to commit resources to regions where laws are respected and security institutions function efficiently.
Encouraging Foreign Direct Investment (FDI). Foreign investors often assess security conditions before entering new markets. Community with effective policing structures and low crime rates become attractive destinations for FDI, industrial development and commercial partnership.
Improving Nigeria’s International Reputation. Persistent insecurity can negatively affect a country’s global image. Successful implementation of community policing can demonstrate Nigeria’s commitment to public safety, governance reforms and economic development thereby enhancing investor perceptions.
Supporting Sustainable Economic Development. Long-term investment depends on sustained peace and stability. Community policing helps build resilient communities capable of supporting continuous economic activities and long-term business growth.
Challenges to Effective Community Policing in Nigeria
Despite its potential benefits community policing in Nigeria faces several challenges. These include:
Lack of enabling legal instrument to operate effectively, limited funding and logistics support, insufficient training of the personnel for existing ones in some states and public distrust. Others are political interference, weak coordination with other security stakeholders and socio-economic inequalities that contributes to crime.
Conclusion
Small and medium scale enterprises constitute the backbone of a nation’s economy. As businesses seek environment that guarantee safety, predictability and stability, community policing has emerged as a strategic approach to enhancing local security in promoting economic growth. Local police and the leaders of communities must work in tandem to identify, prioritize and solve contemporary security problems. In contrast to traditional policing models that are often reactive, community policing encourages continuous interactions between the regular police and the community leaders. It also enhance trust on business owners, youth groups and the local residents leading to building confidence that attracts local and foreign investors in Nigeria.
The challenges faced by community police in some parts of Nigeria is its inability to operate independently within the confines of its assigned legal framework and roles. Political interference scuttles the effective performance of state police, thus diverting its role of providing conducive environment for SME businesses to thrive and build investor’s confidence.
Recommendation
It is recommended that the:
- The Nigerian Constitution should be amended to provide for the creation of state police.
- The National Assembly should weigh on Mr President to sign the state police in law.
- The SME Regulatory bodies should be streamlined for better performance.
- The National Assembly should peg interest rate on bank loans to 8 percent for operators of SMEs.
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